H POLYMERIH ERASER I Kaua'i Community College ACC 124-PRINCIPLES OF ACCOUNTING I ZEH05 REVIEW -Full Accounting Cycle Adventure Travel On April 1, 2010, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company's first month. April 1 Nozomi invested $30,000 cash and computer equipment worth $20,000 in the business. 2 Rented funished office space by paying $1,800 cash for the first month's (April) rent. (Hint Adventure Travel debited Rent Expense for this payment.) 3 Purchased $1,000 of office supplies for cash 10 Paid $2,400 cash for the premium on a 12-month insurance policy. Coverage begins on April 11 14 Paid $1,600 cash for two weeks' salaries earned by employees 24 Collected $8,000 cash on commissions from airlines on tickets obtained for customers. 26 Paid another $1,600 cash for two weeks' salaries earned by employees. 27 27 28 Paid $350 cash for minor repairs to the company's computer Paid $750 cash for this month's telephone bill. Nozomi withdrew $1,500 cash for personal use. The company's chart of accounts follows: iol i01 Cash 405 Commissions Earned 124 Office Supplies- Inventory 128 Prepaid Insurance 167 Computer Equipment 168 Accumulated Depreciation-Computer Equip. 209 Salaries Payable 301 J. Nozoml, Capital 302 Nozomi, Withdrawals 612 Depreciation Expense- Computer Equip. 622 Salaries Expense 637 Insurance Expense 640 Rent Expense 650 Office Supplies Expense 684 Repairs Expense 688 Telephone Expense 901 Income Summary Required t. Use the balance column format to set up each ledger account listed in the chart of accounts. 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts. (T-accounto) 3. Prepare an unadjusted trial balance as of April 30 4. Use the following information to jounalize and post adjusting entries for the month a. Two-thirds of one month's insurance coverage has expired. (Round your answer to the nearest dollar) b. At the end of the month, $600 of office supplies are still available. c. This month's depreciation on the computer equipment is $500. d. Employees earned $420 of unpaid and unrecorded salaries as of month-end. 5. Prepare the adjvsted trial balance. G. Prepare the incorne stalement+balance sheet. ?. Prepare the closing Journal entries o rear thepot- elooing trial talance